Key aspects of the activity and results
– Deposits recovered by EUR 2.3 billion in 1H15, underlining the customers’ confidence in Novo Banco and a return to normality.
– Assets decreased by EUR 3.6 billion, mainly due to the deleveraging of loans (-EUR 1.2 billion; -3.5%) and of the securities portfolio (-EUR 0.7 billion; -5.6%).
– Significant liquidity improvement: the loans to deposits ratio decreased to 114% (126% on 31 Dec. 2014), while funding from the ESCB was reduced by EUR 2.6 billion to EUR 5.9 billion on 30 June 2015.
– The Coverage Ratio for Overdue Loans >90 days reached 113.7% while the Coverage Ratios for Credit at Risk and for Gross Loans were 67.9% (excluding collaterals) and 13.7%, respectively. Moreover, provisions for non-current assets held for sale represent 26% of their gross value.
– On 30 June 2015 the CET 1 capital ratio was 9.4% (not reflecting the deconsolidation of BES Investimento).
– Net interest income and fees and commissions totalled EUR 214.7 million and EUR 193.2 million, respectively, with commercial banking income amounting to EUR 407.9 million.
– The financial result was negatively affected by accounting adjustments of annulment of interest, related to large transactions, amounting to EUR 103.2 million.
– Operating Costs were EUR 397.0 million.
– Net operating income amounted to EUR 17.7 million.
– Provisions amounted to EUR 271.6 million.
– The Net income for the period is negative amounting to EUR 251.9 million.